Franchising is one sector of the US economy that is growing. According to the International Franchise Association’s Franchise Business Economic Outlook for 2018, the franchise sector is growing faster than the overall industries where franchises are concentrated. That may bode well for anyone considering investing in this trending opportunity.
Fast food enterprises may be what most people associate with franchises, but there are more than 75 industries that operate within the franchising format, including automotive, electronics, retail, food, financial services, sports and recreation, travel, and many others.
According to Entrepreneur.com, the top ten franchises as of 2018 are:
- 7-Eleven Inc.
- Dunkin’ Donuts
- The UPS Store
- RE/MAX LLC
- Sonic Drive-In Restaurants
- Taco Bell
- Sport Clips
While food businesses make up a quarter of all ranked franchise companies, the expansion of technology and a change in consumer demands and are two reasons why categories on the rise in 2018 include:
- Child care, including learning centers, daycare services, and sitters and tutors.
- Fitness and Health Services, including gyms and physical therapy practices.
- Senior Care, including non-medical independent living, medical care and staffing, companion care, and transportation.
Finding a Franchise Business That Fits You
To choose the right franchise, you need to be brutally honest about your expectations and goals. Will this be your primary source of income, or just a hobby? Are you willing to work long hours? How much money are you able to invest and is your credit score high enough to qualify for financing? Do you have expertise in a particular field, or do you want to work outside your regular area of knowledge and try something new? The answers to these and other questions about your reasons for getting into a franchise will help to narrow down your choices within certain industries.
There are many ways to find franchise opportunities. The Internet is a good place to start. Franchise expositions let you stroll from booth to booth, talking to real people and comparing many options all under one roof. You might get incentives from exhibitors to attend promotional meetings where you can learn more details about any opportunity you find interesting.
Franchise brokers can help match you with franchise companies that align with your financial capabilities and business experience. Brokers work much like realtors or travel agents – they get paid by the franchisors they represent, so their consulting service is free to you.